Has Gold Lost its Glitter?

Has gold lost its glitter? WSJ's Liam Denning visits the News Hub to explain the recent drop in the price of an ounce of gold and how investors are affected. Photo: Getty Images.

This transcript has been automatically generated and may not be 100% accurate.

I ... the ... all was sixty four ... point ... six in fifty six for sixteen fifties right to get across sixteen thirty said his record at last in that it's it's one of the deal isn't broke the law to it than me ... so that's that that's a bad sign that says it's closer to the not quite yet I feel I can no doubt please say yes ... yes and so is a big ... amount for its ... debt crisis ... okay so why is it now but we digress ... this was ... I'll what the thing is that United States of ... its appearance connected fact is you know it ... I think it will all see us do so yesterday we found ... you know the tricks the eye he said as he sits retail numbers you should run not market unroll the new one so I made a statement from the Fed releases statement that ... lets you know that ... another round of QE is not necessarily is ... down ... and then the stress test results and people are feeling a little more ... optimistic I mean you know we've seen this in long dated Treasury yields which actually in on what's open pit mine it's with the win hundreds of a percentage on it but they've really got off of the last two nights and so ... this idea that you know if that another out of my mission easing is coming ... rates on the society chemistry on the floor until twenty fourteen ... bid or less sure about that now and so they think well ... defined ... in UFOs buying gold on the expectation of United States is dropping more money from helicopters and IBM it's taken off the table ... so if we have to look it's a cold that I it's impossible to predict its future though that could ... be the beginning of the end ... of the of the Ron in gold prices and we seen gold ... is ... Gold really does track to Treasurys ... when he has largely to the last couple years yes meeting as Treasury prices of gone much higher yields ... down the price of gold has gone up the ... shoot me and if we really on the long term trend of Treasury yields going on here the isthe the and the gold bubble what if it is the isthe long anticipates it ... bomb them market beginning then meantime I am in gold prices essentially ... haven't really gone anywhere since lost all this now but credit rating a six to twenty nine to nineteen hundred ... but they've been in that race of the big come flatlined ... so um ... it what would really be necessary would be some ... unexpected spike in inflation because what Gold really tracks to my mind already since the financial crisis ... is real rates which is that the Treasury yields ... minus the inflation rate amongst the medicine for while which makes it attractive to hold polls ... and fiscal ... physical commodities of all ... the bulls was ... first elected now ... but in order not ... the goal to get another leg up I think you'd need see another round on site to be easing ... all some kind of inflation show that we don't really see happening ... of them on whether it be ... um you know some of geopolitical shock that ... there are the girls prices but ... the crores that would probably be another round of QE II is a very it's a bizarre dynamic would go but the important thing for gold investors the gold bugs and there is ... the where we might we don't know when my PX an ... inflection point ... I'd I would say so that's that's that's the issue from a knee and gold has had a tremendous draw ... on the other the other one to keep him on the silver which is often like a very common ... both saw a little brother apartments ... and units in its what we saw the beginning of law seeming gold really when Silva really spike is a big run-up in speculative positions in solar features ... I'm not can